The Crabby Office Lady

Selling a home and then buying another are two of the most stressful endeavors on which you can embark. But with a bit of planning, some Office templates, and some sage advice, it doesn't have to be as bad as it seems.

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Today I'm going to try and tackle the unbelievably stressful task of selling your home and buying another. Although I am in no way an expert at this, I have been in the position of putting my own home on the market and having to move more than once, and so I came up with a few ways to make sure my family and I survived.

First things first: What do you want?

Before you decide to call an agent to list your home or start shopping for home loans (or even the home itself), you might consider asking yourself (and your family) a few basic questions:

• Why do you want to move?
• Is the size of your house too small?
• Does it have to do with your neighborhood schools?
• Is this about the crime rate in your neighborhood?
• Do your in-laws live a wee bit too close?
• Does it make financial sense to move now?
• What does the market look like?
• Are homes sitting and sitting on the market forever?
• Do you have enough to cover the down payment and closing costs for the new home?
• Will you lose money if you move, even if your mortgage payment might be a bit lower? Buyer's remorse for a pair of Jimmy Choo shoes is one thing; remorse over a new house takes it up a whole other level.
• Are you prepared for the stress involved?
• Showing your home to prospective buyers can truly be a hassle. You have to keep your home clean and clutter-free, and you have to be out of the house when the looky-loos start tramping (and tramp they will) through.
• Searching for a new home can be just as traumatic. The home you've been watching for three years to come on the market finally has. You scurry over there only to find that it's been shown 12 times already and has four competing offers. (The nerve! YOUR house!)

Of course I don't want to scare you away from moving — we all have to do it at one point or another — but these are things to think about before you jump headfirst into a project of this scope. (And yes, I know from whence I speak. We'll leave it at that.)

You've made up your mind: Let's sell this house

Now that I've made you totally fearful and you're second-guessing your decision … let's get to the nuts and bolts of home selling.

First, let's take a look at the MSN selling road map.

One of the first orders of business is to figure out if you want to sell your house on your own or hire a real estate agent. There are pluses and minuses to both, and it all depends on how much time you have on your hands for marketing, preparing your home, and fielding buyers' inquiries.

The "Fizzbo" way

Maybe you've already decided that you want to sell your home FSBO (that means "for sale by owner" and it's pronounced "fizzbo"). This can be a great way to go if you're in a house and a neighborhood that are really desirable and where houses sell quickly. I mean, why pay all that commission when you don't have to? Of course, selling your house by yourself has its drawbacks (a few of which I'll illustrate in the next section), but if you're prepared and have the time to devote to it, selling your house FSBO can be a great way to save money.

Of course, the process involves more than just advertising your house. You need to prepare your home for the market, set a realistic price, learn how to evaluate an offer, and negotiate.

Using an agent to sell your home

Sure, selling your house the FSBO way can be a great way to save money. But it sure has its drawbacks (and I know from whence I speak). Are you prepared to

… take the risk of letting complete strangers into your house? When you use an agent, he or she assumes that liability and will rarely bring in an unqualified buyer.

… personally guide those same strangers through your house while they insult your taste, your paint job, and your furniture?

… answer some of the strangest questions you'll ever hear ("What forest did the wood in your floors come from?")?

… deal with the mountain of paperwork from buyers' agents, who know a heck of a lot more about the business than you do? Agents are well versed on the legalities of these types of transactions, and they are real pros at keeping sellers out of trouble.

If you answer a resounding "no" to all these questions, then it's time to consider hiring an experienced professional: a real estate agent. While I can't really offer advice on how to choose the person who will be representing your house, I can suggest that you shop around and spend some time talking to a lot of different agents from different companies. Everyone has his or her own style of working; find an agent you feel comfortable with, who understands your financial needs with regard to your asking price, and who has knowledge about your neighborhood and its home-selling trends.

Of course, you will pay a certain percentage of your selling price to your listing agent (somewhere around 3 percent), but most people find it well worth the expense, considering the alternative (see scary list above).

Moving day

Well, you did it. You sold your house. But hold on there, Sparky — this isn't over yet. It's time to get out of Dodge. Hopefully, you haven't waited until the very last minute to plan for this day. Keep track of what you have, what you're willing to move, and then throw a yard sale!

• Home contents inventory list
• Home contents inventory database
• Home move plan
• Garage sale flyer

And, oh yes, whether you've sold your house on your own or had help from an agent, keep track of the money that's coming to you with our gain on home sale calculator template. In fact, this is one handy tool you may want to update continually as the expenses start rolling in (escrow, title, paint jobs, cabinet knobs, and so forth) and you reconsider your asking price.

Now … let's get out there and find ourselves a new house!

Lets' go get a new home!

Before you start sending out housewarming invitations, there are steps you should probably take to make sure you're going to fulfill all the obligations necessary to make this new home possible.

First order of business, of course, is to find the house. MSN Real Estate: Buying house is a great place to start.

Next, it's time to show me the money! These days it's a good idea to secure some financing before you start looking. I see two reasons for this: 1) Once you go through the loan process, you'll get a better idea of how much house you can actually afford, and 2) If you're in a competitive market, having a pre-approval letter from a lender can give you, as a possible buyer making an offer, an advantage over someone else making an offer who doesn't have proof of financial resources. (Get more information about the $$$ side of things with MSN Money: Mortgages/Loans.)

And finally, just when you think you're out of the woods, you have to take that long walk from making an offer to getting the keys. This road map might help guide you through the process.

Seems like a piece of cake doesn't it? Can't you just taste that welcome-to-the-neighborhood casserole already? Not so fast, dearie. Sometimes glitches pop up and leave you feeling worn out and frustrated with the whole process, making you wonder why you ever even entertained the notion that your one-room yurt wasn't just fine and dandy for you and your six children.

There are, however, ways to make this a bit easier for you and your family:

1. Find the right agent to work with, someone who understands your particular needs and schedules.
2. Figure out a good way to organize the mountains of paperwork virtually falling off the trees and barreling down the mountain toward your Inbox and mailbox.
3. Understand how the loan process works. Don't jump into anything you don't completely understand.
4. Learn about the inspection and closing procedures.
5. Throw yourself one heck of a housewarming party!

Working with your agent

Chances are you've picked out a real estate agent you feel you can trust. Trust is important. But for me, I also need someone who is available not just by phone but via e-mail, as well. Since I'm on the computer all day long, it helps to be able to take a quick look at a house that my agent is finding for my family and me. And the best way for her to let me know of the house's Web site is via an e-mail message.

I've been using Outlook rules and Search Folders to make sure that all the mail from my agent doesn't get lost in the shuffle, and I can create a separate Search Folder for each house we're considering. I can also use Outlook Tasks to keep track of what I need to be doing with regard to home loans, inspections, homeowner's insurance, etc. And, of course, that good old Outlook Calendar keeps me informed of when and where I have to be at any given time. I keep a separate calendar for work-related meetings and appointments, and another one for my house-hunting appointments.

 Note   For more information about Search Folders, multiple Calendars, and Tasks, take a look at the links I've provided in the See Also section at the top of this column.

Gather ye your money

It's one thing to dream about your palatial residence; it's quite another to be able to afford it. While some of you are willing to be a bit "house poor" for a while, for others that just isn't feasible. Although I can't offer advice on what house to buy, I can steer you toward some tools that will help you figure out just how much house you can afford. And knowing this before you (in your sneakers) and your real estate agent (in her Jimmy Choo shoes) hop into her gleaming $45,000 luxury car may make this process a whole lot simpler and shorter.

• Buy vs. rent home calculator
• What kind of mortgage should you get?
• Mortgage amortization schedule
• Mortgage qualification worksheet

I know. You're not an expert at this and neither am I. That's why you really need to take your time and shop around for the best loans, pick one that's right for your particular situation, and don't just hand over the power to someone who may have his or her best interests ahead of yours.

Once you've picked the house

Okay, so now you know where your price range is and have secured a decent loan at a rate you can live with. But even when you've found the house that you're pretty sure you want, there will be money pouring out of your wallet before you make that first mortgage payment. And honestly, while these are expenses you just can't get away from, there are ways to make sure you're getting the most from your money. Do your homework, educate yourself a bit, and talk to other folks who have recently bought houses and who are experts in the business.

• Buyer's home inspection checklist
• Closing costs calculator
• 10 ways to reduce new home hassles

My point: Be prepared to shell out some dough, but be smart about it. Know your options, know what the going rate is in your area for these costs, and make sure you get everything right up front.

Home sweet home

Well, you did it; congratulations! Congratulazioni! Mazel tov! Félicitations! Glückwünsche! Felicitações! Now, let's let everyone know, get ourselves packed up, and party like it's a whole new world for you!

• Residential move planner notebook (OneNote)
• Home move plan (Project)
• Moving checklist (Excel)
• Address change postcard (with art) (Word)
• Congratulations on new house card (You can always be the first to congratulate yourself.)

And remember: Don't forget that housewarming party. All you need to do is send out the party invitations. (I suggest you have it catered. Who needs all that stress after what you've been through?)

"Always be nice to your children because they are the ones who will choose your rest home." — Phyllis Diller

About the author

Annik Stahl, the Crabby Office Lady columnist, takes all of your complaints, compliments, and knee-jerk reactions to heart. Therefore, she graciously asks that you let her know whether this column was useful to you — or not — by entering your feedback using the Was this information helpful? tool below. And remember: If you don't vote, you can't complain.

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